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Tuesday, September 30, 2014

The Second Act

Austin Energy's response to the Austin City Council regarding the adoption of the resolution that called for 50% renewables by 2020 was presented to Council several weeks ago. It is a far cry from generation plan that had been offered before the recommendations of the Austin Generation Resource Planning Task Force.

"Based on a yearlong study, staff is recommending the “500+
Plan” that would have Austin Energy achieve 50% renewable generation
resources and 75% carbon-free production by 2025. This plan includes the
following:

Adding 500 MW of solar, 375 MW of wind, and 500 MW of Natural Gas
from a Combined Cycle power plant to Austin Energy’s generation
portfolio

Despite disagreements over exactly how much solar energy
Austin Energy should purchase by 2020, both sides in a tug of war over the
utility’s generation plan agreed Thursday that Austin Energy should move
forward with a request for proposals for more solar power.

City Council members, sitting as the Committee on Austin
Energy, heard more about Austin Energy’s new 500+ Plan generation mix proposal,
raising several questions about the merits and drawbacks of adding a 500
megawatt combined-cycle natural gas plant to its portfolio. That would most
likely be placed at the Decker Power Station.

Michael Osborne, chair of the Austin Generation ResourcePlanning Task Force, also commented on the 500+ Plan, looking at it through the
lens of the task force’s July report on increasing renewable energy sources and
reducing carbon emissions.

Osborne challenged some of the assumptions that Austin
Energy used in its analysis. “We’re not saying the methodology that they used
is wrong, we’re saying it’s flawed,” Osborne said.

Council Member Laura Morrison told the Austin Monitor after
the Council Committee on Austin Energy meeting that Austin Energy staff and
task force members are providing “different answers” to Council questions. “I
don’t believe that we’ve laid out where those differences come from,” she said.

“We just need to keep digging away until we can make sure we
understand the decision that we’re making,” Morrison said, noting that it needs
to happen before the end of the year.

Council Member Mike Martinez told the Monitor that Austin
Energy’s presentation did not lead him to support constructing the gas plant AE
has proposed to replace the aging plant at Decker, but he wants to hear more
information and is open to continuing the conversation.

Austin Energy Chief Operating Officer Cheryl Mele said the
biggest driver behind the 500+ Plan is Council’s August resolution that
includes task force recommendations, which she referred to as Resolution 157.

“We’ve got a plan that adapts to many of the desires and
many of the outcomes of Resolution 157,” she said, “with the key difference
being that we have to look at our ability to produce revenue to support the
other things that we want.”

Mele said that the utility’s ability to meet stringent goals
“does depend on additional gas generation that’s very efficient to be able to
balance the customers’ costs.” She added that “in the short term, having more
efficient, cleaner generation locally is going to be a good thing for the
customer bills.”

Osborne said that he would like the city put out a request
for proposals on the 600 megawatt solar project included in Resolution 157.

“When it really comes down to it, we’re not going to know
whether this plan is affordable until we see those bids,” Osborne said. “Once
we see those bids, then we can have an independent, third-party group look at
it and we can determine whether this plan is affordable or not.”

Skeptical Council hears new AE generation plan

Despite disagreements over exactly how much solar
energy Austin Energy should purchase by 2020, both sides in a tug of
war over the utility’s generation plan agreed Thursday that Austin
Energy should move forward with a request for proposals for more solar
power.
City Council members, sitting as the Committee on Austin Energy,
heard more about Austin Energy’s new 500+ Plan generation mix proposal,
raising several questions about the merits and drawbacks of adding a 500
megawatt combined-cycle natural gas plant to its portfolio. That would
most likely be placed at the Decker Power Station.
Michael Osborne, chair of the Austin Generation Resource Planning
Task Force, also commented on the 500+ Plan, looking at it through the
lens of the task force’s July report on increasing renewable energy
sources and reducing carbon emissions.
Osborne challenged some of the assumptions that Austin Energy used in
its analysis. “We’re not saying the methodology that they used is
wrong, we’re saying it’s flawed,” Osborne said.
Council Member Laura Morrison told the Austin Monitor after
the Council Committee on Austin Energy meeting that Austin Energy staff
and task force members are providing “different answers” to Council
questions. “I don’t believe that we’ve laid out where those differences
come from,” she said.
“We just need to keep digging away until we can make sure we
understand the decision that we’re making,” Morrison said, noting that
it needs to happen before the end of the year.
Council Member Mike Martinez told the Monitor that Austin
Energy’s presentation did not lead him to support constructing the gas
plant AE has proposed to replace the aging plant at Decker, but he wants
to hear more information and is open to continuing the conversation.
Austin Energy Chief Operating Officer Cheryl Mele said the biggest
driver behind the 500+ Plan is Council’s August resolution that includes
task force recommendations, which she referred to as Resolution 157.
“We’ve got a plan that adapts to many of the desires and many of the
outcomes of Resolution 157,” she said, “with the key difference being
that we have to look at our ability to produce revenue to support the
other things that we want.”
Mele said that the utility’s ability to meet stringent goals “does
depend on additional gas generation that’s very efficient to be able to
balance the customers’ costs.” She added that “in the short term, having
more efficient, cleaner generation locally is going to be a good thing
for the customer bills.”
Osborne said that he would like the city put out a request for
proposals on the 600 megawatt solar project included in Resolution 157.
“When it really comes down to it, we’re not going to know whether
this plan is affordable until we see those bids,” Osborne said. “Once we
see those bids, then we can have an independent, third-party group look
at it and we can determine whether this plan is affordable or not.”

- See more at:
http://www.austinmonitor.com/stories/2014/10/skeptical-council-hears-new-ae-generation-plan/#sthash.PUZbV3Q5.dpuf

Skeptical Council hears new AE generation plan

Despite disagreements over exactly how much solar
energy Austin Energy should purchase by 2020, both sides in a tug of
war over the utility’s generation plan agreed Thursday that Austin
Energy should move forward with a request for proposals for more solar
power.
City Council members, sitting as the Committee on Austin Energy,
heard more about Austin Energy’s new 500+ Plan generation mix proposal,
raising several questions about the merits and drawbacks of adding a 500
megawatt combined-cycle natural gas plant to its portfolio. That would
most likely be placed at the Decker Power Station.
Michael Osborne, chair of the Austin Generation Resource Planning
Task Force, also commented on the 500+ Plan, looking at it through the
lens of the task force’s July report on increasing renewable energy
sources and reducing carbon emissions.
Osborne challenged some of the assumptions that Austin Energy used in
its analysis. “We’re not saying the methodology that they used is
wrong, we’re saying it’s flawed,” Osborne said.
Council Member Laura Morrison told the Austin Monitor after
the Council Committee on Austin Energy meeting that Austin Energy staff
and task force members are providing “different answers” to Council
questions. “I don’t believe that we’ve laid out where those differences
come from,” she said.
“We just need to keep digging away until we can make sure we
understand the decision that we’re making,” Morrison said, noting that
it needs to happen before the end of the year.
Council Member Mike Martinez told the Monitor that Austin
Energy’s presentation did not lead him to support constructing the gas
plant AE has proposed to replace the aging plant at Decker, but he wants
to hear more information and is open to continuing the conversation.
Austin Energy Chief Operating Officer Cheryl Mele said the biggest
driver behind the 500+ Plan is Council’s August resolution that includes
task force recommendations, which she referred to as Resolution 157.
“We’ve got a plan that adapts to many of the desires and many of the
outcomes of Resolution 157,” she said, “with the key difference being
that we have to look at our ability to produce revenue to support the
other things that we want.”
Mele said that the utility’s ability to meet stringent goals “does
depend on additional gas generation that’s very efficient to be able to
balance the customers’ costs.” She added that “in the short term, having
more efficient, cleaner generation locally is going to be a good thing
for the customer bills.”
Osborne said that he would like the city put out a request for
proposals on the 600 megawatt solar project included in Resolution 157.
“When it really comes down to it, we’re not going to know whether
this plan is affordable until we see those bids,” Osborne said. “Once we
see those bids, then we can have an independent, third-party group look
at it and we can determine whether this plan is affordable or not.”

- See more at:
http://www.austinmonitor.com/stories/2014/10/skeptical-council-hears-new-ae-generation-plan/#sthash.PUZbV3Q5.dpuf

Skeptical Council hears new AE generation plan

Despite disagreements over exactly how much solar
energy Austin Energy should purchase by 2020, both sides in a tug of
war over the utility’s generation plan agreed Thursday that Austin
Energy should move forward with a request for proposals for more solar
power.
City Council members, sitting as the Committee on Austin Energy,
heard more about Austin Energy’s new 500+ Plan generation mix proposal,
raising several questions about the merits and drawbacks of adding a 500
megawatt combined-cycle natural gas plant to its portfolio. That would
most likely be placed at the Decker Power Station.
Michael Osborne, chair of the Austin Generation Resource Planning
Task Force, also commented on the 500+ Plan, looking at it through the
lens of the task force’s July report on increasing renewable energy
sources and reducing carbon emissions.
Osborne challenged some of the assumptions that Austin Energy used in
its analysis. “We’re not saying the methodology that they used is
wrong, we’re saying it’s flawed,” Osborne said.
Council Member Laura Morrison told the Austin Monitor after
the Council Committee on Austin Energy meeting that Austin Energy staff
and task force members are providing “different answers” to Council
questions. “I don’t believe that we’ve laid out where those differences
come from,” she said.
“We just need to keep digging away until we can make sure we
understand the decision that we’re making,” Morrison said, noting that
it needs to happen before the end of the year.
Council Member Mike Martinez told the Monitor that Austin
Energy’s presentation did not lead him to support constructing the gas
plant AE has proposed to replace the aging plant at Decker, but he wants
to hear more information and is open to continuing the conversation.
Austin Energy Chief Operating Officer Cheryl Mele said the biggest
driver behind the 500+ Plan is Council’s August resolution that includes
task force recommendations, which she referred to as Resolution 157.
“We’ve got a plan that adapts to many of the desires and many of the
outcomes of Resolution 157,” she said, “with the key difference being
that we have to look at our ability to produce revenue to support the
other things that we want.”
Mele said that the utility’s ability to meet stringent goals “does
depend on additional gas generation that’s very efficient to be able to
balance the customers’ costs.” She added that “in the short term, having
more efficient, cleaner generation locally is going to be a good thing
for the customer bills.”
Osborne said that he would like the city put out a request for
proposals on the 600 megawatt solar project included in Resolution 157.
“When it really comes down to it, we’re not going to know whether
this plan is affordable until we see those bids,” Osborne said. “Once we
see those bids, then we can have an independent, third-party group look
at it and we can determine whether this plan is affordable or

- See more at:
http://www.austinmonitor.com/stories/2014/10/skeptical-council-hears-new-ae-generation-plan/#sthash.PUZbV3Q5.dpuf